ADNOC Distribution and Abu Dhabi National Energy Company (TAQA) have collaborated to establish a mobility joint venture, E2GO, to build and operate electric vehicle (EV) infrastructure in Abu Dhabi and the wider UAE.
An agreement was signed by the CEO of ADNOC Distribution Mr. Bader Saeed Al Lamki, and Group CEO and MD of TAQA Mr. Jasim Husain Thabet and was unveiled during the Abu Dhabi Sustainability Week (ADSW 2023).
Demand for EVs in the UAE market has witnessed a steady rise over the past years and is projected to see a compound annual growth rate (CAGR) of 30 percent between 2022 and 2028 according to the global electric mobility readiness index published in 2022.
E2GO comes at an opportune time in the development of the UAE’s EV market, with an expected 70,000 charging points considered to be required in Abu Dhabi by 2030 to meet growing EV demand. To support this demand, an investment of up to $200 million of CAPEX will be needed for this critical infrastructure.
“As electric vehicle adoption grows in the UAE, ADNOC Distribution and TAQA are well placed to meet the evolving needs of EV customers through the creation of the E2GO venture. ADNOC Distribution will continue to capitalize on energy transition opportunities that make commercial sense, while remaining a reliable supplier of our customers’ energy needs.”
The partnership will include a network of fast chargers at key locations, featuring associated solutions such as parking and tolling services, in addition to related digital platforms to facilitate EV charging, which will enhance customer service and unlock new revenue streams. The project aligns with the UAE’s Net Zero by 2050 objectives by contributing to a reduction in emissions from transport.
The new venture is supported by a new regulatory Policy for Electric Vehicle Charging Infrastructure in Abu Dhabi that the Abu Dhabi Department of Energy recently launched, in a significant step forward to provide the right policy framework to support a circular carbon economy as the UAE advances its plans to achieve the net zero ambition.
Mr. Mohamed Hassan Alsuwaidi, Chairman of TAQA, said that “Decarbonising transport is an essential part of the UAE’s drive towards achieving its net zero ambitions. The development of EV infrastructure facilitated by the E2GO joint venture will help bridge the gap in delivering clean energy to the wider public. As a low-carbon power and water champion, we continuously explore unique opportunities to expand our footprint into emerging growth areas, and we believe this partnership marks a major step towards integrating TAQA into a wider customer base, while further strengthening our alignment with the nation’s sustainability agenda.”